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tv   CNN Newsroom  CNN  July 18, 2011 10:00am-12:00pm PDT

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on drew, thank you. the white house rose garden. it's a long way from the boardrooms and back rooms of wall street, but what is about to happen here could have a major impact there. you will see it live in just five minutes. the consumer financial protection bureau is a cornerstone of post melt down reforms, and the brainchild of elizabeth warren. she fought for legislation and spent months getting the bureau up and running ahead of its official start date, but when obama announces it minutes from now, he will be going with this man, a lieutenant that came to d.c. when he lost his bid for re-election as attorney general of ohio. there he was a credit of big banks in general and mass
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foreclosures, and he had a winning streak on a game show. what is the consumer financial protection bureau? it aims to put a stop to predatory lending. it will keep an eye on credit card fees and student loans and keep an ear on consumer complaints. because a whole lot of centers don't like the bureau, the confirmation could be, dare i say, in jeopardy. dan, tell us first why this nomination is not going to elizabeth warren? >> reporter: well, certainly the white house saw her as somebody that could set up the agency and had hoped that she was the person who could potentially lead the agency, but as you pointed out this was somebody
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who was controversial and ran up against conservatives that would not support her nomination. and one official telling me republicans in congress made clear that they don't support the agency, and they would block all efforts to confirm elizabeth warren as the permanent director. while she was somebody that essentially invented this agency, got it up and going, and brought core dre onboard to be the director of enforcement, she will now hand off to him to be the permanent director of the agency, because as i pointed out it became clear that it would be difficult for her to pass the nomination process up on capitol hill. >> do you think he will have an easier time getting confirmed or will we see backlash from condemns. >> people that opposed elizabeth warren, also opposed the agency
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in general. wall street not happy about it, concerns that it would be a whole new layer of new rules and regulations. so there are still those that are pushing back on the agency itself, so any person that will be leading that agency would face stiff opposition. >> specifically, what is the problem that republicans have with this bureau? >> reporter: well, you know, what i was just pointing out a while ago, there is just a whole new layer of what they -- some might believe on wall street, an unnecessary layer of new regulations, in an agency or a financial institution that have already been hit very hard with new rules and new regulations in the wake of the financial meltdown. and certainly the president pointed out that he has been pushing very hard to prevent some of these problems that we saw in the past from happening again. in fact, yesterday when the white house put out a statement
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saying that this announcement would be made today in the rose garden, there was a quote from the president where he said american families and consumers bore the brunt of the financial crisis and are still struggling in the aftermath to find jobs and stay in their homes and make ends meet, and that's why i fought reforms and wanted to put in replace this. there are some people in the banking industry in the ever the to protect american consumers that the banking industry is getting hit hard. >> what is the word on elizabeth warren? what is next for her? >> well, you know, everybody has been doing a lot of reporting on this, and indications based on cnn's reporting that she will -- she's a former harvard professor, and indications are she will head back to harvard. there's a lot of talk as well as about her, and again, as far as we know, this is just speculation, about her taking on scott brown in massachusetts for
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the senate seat there, so that's something that is out there. she doesn't have a long political experience, so we will watch to see if in fact that is something she will do. again, based on everything that we know, she's headed back to harvard. >> what are the next steps in confirming richard cordray? this is a nomination, we should point out. >> reporter: the president makes the dominations, and this process could be short or it could be an extensive process, as in any review process, what will happen is his background will be brought up, and congressional leaders will be going through everything that he has done, and as you poipnted ot earlier, this was somebody that was tough on financial institutions in ohio, specifically in their foreclosure practices coming down very hard on them as attorney general in ohio, so no
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doubt some of that will also be reviewed as they look to have him confirmed here for the new position. >> is there any word from elizabeth warren on the nomination for cordray, is she in support of it? >> reporter: yes, she also put out a statement, and also wrote an opt ed in the "huffington post," where she said that she was with the president in terms of putting together this choice for -- to head the agency, so yes, very much in support of this nomination, even though everybody thought and certainly liberals had hoped that she would be the person to take the lead of the agency that she herself has set up. >> dan, thank you, and we will continue to speak with you as we also wait for the president to come out and make this nomination official. before we move on, you should know elizabeth warren is
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wolf blitzer's guest today on ""the situation room" ," and that's only on cnn. cnn continues the in depth coverage of the british phone hacking scandal in london's tell all tabloids. we have newsworthy of large type headlines. two days after she resigned, rebekah brooks walked into a police station for questioning and found herself under arrest. hours later, britain's top police officer, the chief of scotland yard resigned, and he acknowledges that the investigation was inadequate, and steven yates now announcing his resignation. the scandal has been growing
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steadily after reports that there was a hacking of an answering machine by "news of the world." tomorrow murdoch and his son james are scheduled to appear on a hearing in parliament. cnn will bring you that testimony live. dan rivers is inla london. rebekah brooks is expected to testify tomorrow, and now what are the plans in terms of questioning her tomorrow? >> reporter: well, politicians will have to be careful how they frame the questions to her. in britain, if there is a pending trial or the possibility of a pending trial, you have to be very careful what kind of news coverage is gained from that, because they don't want to prejudge the trial here. they don't want to sway a potential juror one way or the other. and this testimony from rebekah brooks will be broadcast live
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not only here but around the world. they have to be fairly careful about what they ask her and she will have to be careful about what she says, and i would imagine she will have lawyers sitting by her side. and now she will questioned after rupert and james murdoch. it will be the first time we hear rupert marurdoch questione about the affair. there will be no hiding tomorrow. the spotlight will be firmly on him. >> what can we expect, do we think, the murdochs to say tomorrow? do you expect any big surprises? >> reporter: well, the whole party line, if you like, has been we didn't know what was going on, and we had no idea about the extent of illegal activities. i think they will be requesting closely about come on, guys, there was money being written out to the detectives doing some
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of the illegal work, and you were signing the checks, didn't you have any idea this was going on? that will be difficult for them. if they say they didn't know, that is incompetent, and then if they did, then that is something else, and i think they will have a tough time. >> dan rivers in london for us. thank you. robert and james murdoch and rebekah brooks are scheduled to be questioned by parliament tomorrow. and then we will bring you an announcement as soon as it happens from president obama. and hugs all around for the crew of "atlantis," and saying
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good-bye but leaving something historic behind, and that's ahead in just two minutes. ldt gd to congress. but i did. ♪ sometimes when we touch ha ha! millions of hits! [ male announcer ] flick, stack, and move between active apps seamlessly. only on the new hp touchpad with webos. is best absorbed in small continuous amounts. only one calcium supplement does that in one daily dose. new citracal slow release... continuously releases calcium plus d for the efficient absorption my body needs. citracal. vietnam, 1967.
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personal pricing now on brakes. tell us what you want to pay. we do our best to make that work. deal! my money. my choice. my meineke. once again, we want to show you this live picture from the white house there. the president is on his way out, and we will listen to his official nomination of richard cordray to head the consumer protection bureau. >> good morning, everybody. it has been almost three years since the financial crisis pulled the economy into a deep recession, and millions of families are still hurting because of it. they are trying to get by on one income instead of two, and on fewer shifts at the plant or at the hospital. they are cutting expenses. giving up on a family night out
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so there's money for groceries, and for a lot of families, things were tough even before the recession. so we have got to get the economy growing faster, and make sure that the small businesses can hire again so that an an intrapreneur can sell a product, and the middle class is getting stronger again, and that's why we can't let politics stand in the way of doing the right thing in washington. we can't stand in the way when it comes to doing the right thing on deficits, and that's why i want to take steps in making sure like payroll taxes for middle class families don't go back up next year. it's so important that we tackle the problems that led us into the recession in the first place. one of the biggest problems was that the tables were tilted against oerrdinary people in th fantial system. when you get a home loan, it
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came with pages with fine print. these kinds of things open the door with unskrup lus practiced. it put honest businesses at a disadvantage. and it encouraged dangerous risky behavior on wall street, which dragged the economy in the mess we're still trying to clean up. that's why we passed financial reform a year ago. it was a common sense law that did three things. first, it made taxpayer funded bailouts illegal. so taxpayers don't have to foot the bill if a big bank goes under. and second it said to wall street firms, you can't take the same kind of reckless risks that led to the crisis. and third, it put in place the strongest consumer protections in history.
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now, to make sure that these protections work so ordinary people were dealt with fairly and they could make informed decisions about their finances, we just did not change the law, we changed the way the government did business. for years the job of protecting consumers was divided up in a lot of different agencies so if you have a problem with the mortgage lender you called one place and if you had a problem with a credit card company, you called somewhere else. it meant there was a lot of people that were responsible, and that meant nobody was responsible. we changed that. we cut the bureaucracy, and put one consumer watchdog in charge with just one job, looking out for regular people in the financial system. now, this is an idea that i got from elizabeth warren, who i first met years ago. back then -- this is long before the financial crisis. elizabeth was sounding the alarm
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on predatory lending, and in the years since she has become the leading voice in our country on behalf of the consumers, and has done it while facing tough opposition, and drawing a fair amount of heat and fortunately she is tough. i asked elizabeth warren to set up the new borougubor bur burea. she is making sure credit card loans and contracts are simpler, and written in english. already, for example to the leadership of the bureau, we're seeing men and women in uniform getting more protections against fraud and deception, when it comes to financial practices. and as part of her charge, i asked elizabeth to find the best possible choice for director of the bureau. and that's who we found in richard cordray.
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richard was one of the first people that elizabeth recruited. he has helped stand up the bureau's enforcement in the last few months. he took this job, which meant being away from his wife and 12-year-old twins back in ohio, because he believed so deeply in the mission of the bureau. prior to this as ohio attorney general, rich helped cover billions of dollars in things like pension funds on behalf of retirees and stepped up the state's practices against scupulous spending practices. democrats and republicans, banks and consumer advocates. now, last but not least, back in the '80s, richard was a five-time "jeopardy" champion, and a semifinalist in the tournament that champions.
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not too shabby. and all of his hearing questions will be in the form of a question. that's a joke. so i am proud to nominate richard cordray to this post. we have been recently reminded why this job is going to be so important. there is an army of lobbyists and lawyers right now working to water down the protections and the reforms that we passed. they have already spent tens of millions of dollars this year to try and weaken the laws that are designed to protect consumers. they have allies in congress who are trying to undo the progress that we have made. we're not going to let that happen. the fact is the financial crisis and the recession were not the result of normal economic cycles or just a run of bad luck, they were abuses. there was a lack of smart regulations. we want to make sure it doesn't
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happen again. we will not go back to the status quo where consumers can count on the protections they deserved and we will not go back to the time where the economy was subject to a crisis. that's why the reform matters and the bureau matters. we will fight any efforts to repeal or undermine the important changes that we passed, and we will stand up this bureau and make sure it's doing the right thing for middle class families all across the countries. middle class families and seniors can't afford a series of lawyers. they shouldn't have to be a corporate lawyer in order to be able to read something that they are signing to take out a mortgage or to get a credit card. they ought to be free to make informed decisions to buy a home or open up a credit card or take out a student loan, and they should have confidence they are
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not being swindled. this is what this consumer bureau will achieve. i look forward to working with richard cordray as this bureau stands up on behalf of consumers all across the country. i want to thank elizabeth and tim geithner for the work they have done over at the treasury to make sure a year after we passed this law, it's already having an impact and it will have impact for years to come. thank you very much and congratulations, richard. >> reporter: mr. breapresident, progress on the talks with boehner yesterday? >> the president wanted to talk about the choice to head the financial protection bureau.
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he pointed out there was a lack of smart regulations, and he says this bureau will protect middle class families and will make sure that these families who don't have corporate lawyers to protect them will not be swindled. we will have much more news after this quick break. it makes its skyline greener and its population healthier. all to become the kind of city people want to live and work in. somewhere in america, we've already answered some of the nation's toughest questions. and the over sixty thousand people of siemens are ready to do it again. siemens. answers.
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tropical storm bret continued to strenten as it headed closer to the bahamas this weekend. but the forecast is for it to move out to sea. how does bret look to you? >> like it will be a bermuda storm. if we get rid of a "b," we get
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rid of one named storm, which is good, i guess. and as it moves away, there is hamilton, and that would be bermuda, and it heads out to the ocean that heads out and loses a name. the next storm with the "c" name, and it will make decent waves in the carolinas this weekend. it's a heat wave going on in the middle part of the country. there's no question that 108 in minneapolis, and the temperature in kansas city will be well above what it should be for this time of year. for this entire area, this map size from fargo to michigan, and back down south into dallas, that's 25% of the entire united states under some type of warning. that is exactly the same size as the entire country of mexico. so think about that. an entire country almost there under some type of warning. doesn't go away anytime soon.
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today and tomorrow, still will feel like 110 in minneapolis. like minnetonka, 119 degrees is what it felt like yesterday. i don't care whether you are on the lake or in the lake, that's still pretty hot. >> yeah, i have been on a boat in that lake many times, and that's way too hot. >> yeah, i thank you so. >> seven years. chad, thank you. the spacecraft has reached its destination. it's the first time nasa has been able to orbit a an object. it's about 330 miles across. it took four years to reach vesta, which is not technically an astroid, but it's referred to as a minor planet.
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nasa started rapping things up in the last final mission. the astronauts said good-bye to their counterparts at the space station. we have more on the historic fair well ceremony. >> reporter: randy, 30 years of flying space shuttles came a little closer to the end today onboard the international space station, the six space station crew members bidding farewell to the four other crew members. they left behind an american flag that they attached to the hatch leading from the space station to the shuttle. now, that american flag flew for the very first time back 30 years ago on the very first space shuttle flight. >> we close that hatch when these guys go by, we're closing a chapter for the nation, in the
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future when another spacecraft with crew members onboard docked, we will open up a new era on new exploration, and it's an honor for us to do that and a great place to put it. >> the hatch was closed. now that flag that we were talking about, that will be retrieved by the next american astronauts who make it to the space station on a u.s. vehicle, probably a commercial vehicle in three or four years. they will bring that flag back to earth, and then that flag will next fly on the very first deep space mission by u.s. astronauts, perhaps to an astroid or on to mars. the space shuttle "atlantis" is scheduled to return just before sun up.
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>> we have a preview of the new robotic lander. rupert murdoch built the biggest national media empire the world has ever known. can he hold it together? we will try and find out. mans and rural communities, giving them a new choice. we'll deliver better service, with thousands of new cell sites... for greater access to all the things you want, whenever you want them. it's the at&t network... and what's possible in here is almost impossible to say. on our car insurance. great! at progressive, you can compare rates side by side, so you get the same coverage, often for less. wow! that is huge! [ disco playing ] and this is to remind you that you could save hundreds! yeah, that'll certainly stick with me.
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it's about half past the hour. let's look at some of the headlines and other news you may have missed. moments ago president obama nominated richard cordray to head the new protection bureau. the agency was elizabeth warren's brainchild, but several republicans said they would block any nomination to make her leader. top administration and congressional officials are expected to keep working this week on a measure to raise the federal debt ceiling by $2.5 trillion, embracing a version of the fallback plan by mcconnell.
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if congress fails to raise the current $14.3 trillion debt ceiling by august 2nd, americans could be hit with rising interest rates and jittery financial markets. more fallout from the phone scandal involving murdoch's media empire. the british home secretary now says a review board will examine allegations of corruption involving british police officers. the announcement comes after the resignation of two officials. and tomorrow murdoch and his son, james, and rebekah brooks
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will testify in front of the parliament. and the stage gave way after the band was playing when a thunderstorm storm came. several people were hurt. and then other south africans chose to pay honor to his legacy by accomplishing good works. and what is murdoch's next move? we will find out after the break. way to go, coach. ♪
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now back to our continuing in depth coverage of the british phone hacking scandals. it started with reports that murdoch's "news of the world" hacked the phone messages of a murdered girl. murdoch and his son are
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scheduled to appear before the commons tomorrow, and so is rebekah brooks. to give you an idea what is at stake, we are bringing jim bolden in from london. this is a big deal that rupert murdoch and his son are answering questions from parliament, isn't it, jim? >> it's huge. this story keeps moving at an extraordinary pace. the two will only probably testify for an hour. it depends on how they answer the questions. will they try to deflect answers, and will they talk about what they knew about the alleged money paid to police, and the phone hacking, and if there is a problem with the answers, i think the par la par will smell blood. >> there seems to be damage control taking place on behalf of murdochs. how do you think this might affect the entire empire?
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>> it's affecting the empire when you look at the share price and the fact that they had to close one of the newspapers and the fact they could not take over the number one satellite broadcaster here, and now they hired a big public relations firm. i talked to "the guardian," the editor who has been breaking stories, and he said he has sympathy for rupert murdoch. >> it's a bit out of control for the last ten days, but i am not surprised because the story -- they were having so much -- the story was changing so much from day-to-day, it would test any organization. there are signs now that they are beginning to get a grip. >> get a grip for now, but we will see after the testimony tomorrow, randi. >> i am curious, what is your take on this? do you think that murdoch can survive this? >> he has been an extraordinary man for newspapers and the
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media. he probably will survive, but will his son james take over as many people thought he would, or will he go to one of the americans at news corp and have them take over eventually. james murdoch was more involved than rupert was during the scandals, and we'll see whether james can survive as well. >> i want to ask you about prime minister cameron. we're getting word that he will cut his trip to afriof africa sd come back to deal with the scandal. the woman who really seems to be at the center of this, rebekah brooks -- >> yeah, they are friends, and, you know, you have to court people who run newspapers in the country, and mr. murdoch hired andy coalstin, and rebekah
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brooks took over the newspapers and there are pictures with them together. there is a small group that know each other and control things, and rebekah brooks was powerful and a young lady that rose quickly through the ranks of the newspapers, and she started as a secretary, and the time she took over the papers here, of course any prime minister would want to talk to her and get to see what kind of influence he could have on her, and what kind of influence she may have had on him. >> jim, we appreciate it and thank you very much. >> once again, former murdoch executi executive, rebekah brooks, and rupert and james murdoch are scheduled to testify in front of parliament tomorrow. soccer details coming up next. [ jerry ] i'm a grandfather, a retired teacher,
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call or click today for your free information kit with dvd. call the number on your screen or visit tempur-pedic. the most highly recommended bed in america. happy birthday. >> happy birthday! >> ♪ happy birthday, to you ♪ ♪ happy birthday ♪ happy birthday, mandela. >> he turned 93 today. across the country, south africans are paying tribute through song and community service projects. general david petraeus
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handed over command of the war in afghanistan, and the fact the war is far from over is scored by violence. there was a killing of a district police chief and the deaths of four nato soldiers. and we are joined from the afghan capital, kabul. what did general petraeus say about the war he is leaving? >> reporte >> it has again been the greatest of honors to serve here, to witness the skill and valor of our troopers, and -- >> reporter: rannie, the former commander rejected on kandahar and he thanks his afghan
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colleag colleague, many of whom will be taking over as they transition authority for the security of many of the praufenses. and the full droudown is expected to take place by 2014, but incoming general, john allen, said he was cognizant of the tough road ahead, and he served in the surge in 2007, and comes at this at a critical time in the terms of the transition and the security in the country. what we have seen has been an interesting shift by what some officials describe is a shift by taliban and other militants in the southern eastern parts of the country to focus more on high profile attacks. we saw this yesterday with the killing, the gunning down of a
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top karzai adviser, and also last week with the killing of the afghan president's half brother. all of this comes at a time of great transition, and it also sends a message of who really is safe here in afghanistan. randi? >> thank you very much. appreciate that. time, 46 minutes past the hour. a cnn in depth story, the phone hacking scandal in papers owned by murdoch. and then the country's top police official, paul stevenson, resigned over the weekend. that's him right there. the assistant commissioner followed suit today. in italy, a judge today dismissed all defense motions in the trial of prime minister berlusconi. he is accused of having sex with
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a minor, and is charged with abuse of power. he denies the charges and the next hearing date is in october. the kick that brought all of joy to japan. the amazing victory in the united states in the finals of the women's word cup, and saying they were playing for the victims of the earthquake and tsunami. they won out right on penalty kicks. coming up, i want you to check this out. that's what nasa is testing right now. we'll tell you why it might be so important to the future of space exploration. the big eye coming your way next.
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we have a show called big ideas, and when i saw this invention, i thought immediately of the jetsons, that's nasa's new robotic lander, essentially an unmanneds space craft being created to help explore moons, plants and asteroids. nasa engineer julie basler, and renee weber. thank you both for coming on the show to talk about this. this isn't nasa's first robotic vehicle, so what makes this one so special? >> this vehicle we're building is a small, smart, versatile lander, it will be capable for lasting six years on a moon
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surface or other celestial bodies. >> what winds of things can be done that aren't being done today? >> there's still a lot left to learn about the lunar surface. we haven't had anything landed there since the '70s, so we still have a lot of scientific questions like understanding the evolution and formation of the moon and also looking at things like resource exploration for supporting future manned activities. >> and from what i understand, this is supposed to be really good at hovering. so julia, so from what i understand as well, it didn't hover so well or for any length of time yet. so how long is it able to hover and what is so important about it hovering? >> so far we have been able to hover for 33 seconds, that was our longest test flight. in august we'll be taking it outside to the range at the test arsenal here in huntsville and we'll be flying it for up to 60
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seconds. and at that time one of the main things we're going to be dmen stra demonstrating a closed loop autonomous vehicle. and it should last eventually 60 seconds and we're attempting to go up to 60 meters in height. >> a lot of us are watching the space shuttle program coming to an end and you have designed this sophisticated unmanned vehicle, is that what we're coming to? >> it's a possibility, but i would like to point out things like the unmanned missions's capability in terms of characterizing the lunar surface and also other bodies that we haven't visited yet like ast asteroiders or mars.
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i think once they understand their budget, fiscal realities, then they'll be able to forecast the future for the future robotic missions, there are already orbiters in orbit around the lunar surface and there are plans to go to other aster roids, so there's already plans to be doing orbits around other planetary bodies and would be the next phase of jupiter missions. >> and for much more on this, you can check out my facebook page,, cnn. we have g ♪ [ male announcer ] what is the future of fuel? the debate is over.
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s. we're talking about gay marriage. >> i think that marriage should be between a man and a woman, but i think the republican part
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about why he might run and what the timeline might be, he would make a decision. he pointed out that the country is out of state right now, that the city of new york was when he first took over new york, and look at the great things that he did for new york city, aznas fas whether he will make the decision to run or not will happen later on in the summer. he's telling social conservatives, let's not falk about the update from the best political team on television is just one hour away. a new hour starts with the casualty of a scandal that's rocking the empire of a scandal.
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> over a decision he made to drop an investigation into a phone hacking scheme against murdock. the boss announced his resignation just hours after the arrest of the newly resigned ceo of news international, her name is rebecca brooks. rooks, murdock and murdock's son james are all due to testify tomorrow before a committee of parliament and you will see it live right here on cnn. in the meantime, my colleague matthew chance joins me from across the pond, and matthew, where to begin? preview tomorrow's parliament for us if you can. can rebecca brooks really answer questions if she's the subject of a criminal investigation? >> it's going to be much difficult for rebecca kbroox br ask the precise questions they're going to want to ask her. because they're not going to
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want to jeopardize the police investigation and she doesn't want to say anything that might incriminate her in the newt. she says she is going to answer questions, but she's also said she's not guilty of any wrong doing, so it will be a very interesting session that we're going to be seeing from the british parliament, randi. >> and it isn't just the murd k murdocks who have to answer questions, we're also talking about the police, a couple of top police officials have already resigned their post, what is the police involvement here, alleged police involvement in this investigation. >> well, at the moment, from britain, that's a huge aspect to this constantly developing story, we have had two senior most figures in the metropolitan police force, which is the biggest police force in britain, one of the biggest police forces in the world, actually stepped back from this phone hacking scandal. john yates, the assistant commissioner, that comes within
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24 hours of his boss, the commissioner of metropolitan police stepping down and of course within the last few hours, the independent police complaint body, which is the independent body which examines what the police do here in britain has its own investigation into the conduct of these two figures, as well as into the conduct of two former police officials in the metropolitan police as well. so we'll see this as a huge issue in britain, the police is supposed to be one of the most trusted figures in british society. and there's an investigation by this independent group. a > . >> what is his relationship as best you know in terms of his involvement, his work with some of the key players in this investigation? >> well, this is the big, i think simmering developing story underneath the surface of all
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these developments that we have been witnessing over the past couple of days, to what extent is this building pressure on david cameron, remember, david cameron is the prime minister who hired andy colson, the former ceo of news of the world, and was his assistant for three years. there's been lots of questions raised by david cameron's judgment in hiring andy colson, certainly there's been calls by the parliament for him to step down. he hasn't done that, that hasn't been picked up by the main stream opposition in britain. he's already cut short a trip to africa that was meant to be five days long, he's now brought it back to 1 1/2 days long, he's coming back, he's agreed to this extra session of parliament to look into this phone hacking
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scandal. but there is pressure on the prime minister now. >> how did the apology play in the british newspapers over the weekend, mr. murdock had said i'm sorry and took out these big ads in the british papers, were those acceptable there? >> i'm sure those people that might want to give, you know, rupert murdock, these newspapers the benefit of the doubt. it's not going to make the police happy, they're going to go on with their investigation, actually they've been given more resources to dig deeper in this situation and potentially to bring charges that hasn't happened as of yet. but there's an awful lot of police pressure within the police to get to the bottom of this. there's also public pressure as well. how many times rupert murdock and his people say they're sorry, is not going to satisfy the police and parliament. >> when they're in parliament
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tomorrow, is this under oath or not? >> yes, it will be. that's my understanding at least, and certainly rebecca brooks and the other individuals who will be facing, questioning in parliament, even rupert murdock of course and his son james, will be taking advice i expect from their attorneys as to what they can and can't say, by the same token, british parliament will be taking advice from legal tanks as well, so they don't jeopardize what's considered to be the all-important police investigation now into the conduct of these figures and this organization in general, randi. >> matthew shannon in london, thank you very much for your reporting on this. coming up, howard kurtz, anchor of cnn's "reliable sources" will be after that. to washington now where time is not on the side of the white
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house and congressional republicans who need to agree on a debt ceiling increase by the end of the week. the treasury says the day, the day for default is august 2, but lawmakers need time to draft legislation and feel there's nothing to draft. they will be voting in the house on a plan that the president is vowing to veto. it was calling for a balanced budget amendment to the conversation. as you may have seen live last hour, mr. obama turned his attention to another financial decision, he appointed a well known critic of big banks. he also knows his trivia, way back in 1997, he was a five-time champion on jeopardy. he used his winnings, nearly $45,000 to pay off loans from law school. and general david petraeus
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today handed over command of the afghan war to general john allen. at least five native soldiers and an afghan police chief were killed in separate attacks. and yesterday another top aid to president hamid karzai -- the taliban claimed responsibility for both attacks. petraeus is returning to the u.s. to become the new director of the cia. casey anthony is now free. she walked out of a florida jail yesterday 12 days after a jury acquitted her on murder charges, related to the death of her 2-year-old daughter caylee three years ago. she faces an uphill battle as she tries to return to normal life. one attorney says elaborate plans are in place to keep her safe from the lynch mob mentality. in some parts of the country, there is no relief from
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the extreme heat, what's being described as a dangerous heat wave, it's moving eastward in the coming week and will encompass most of the eastern seaboard. the east is expect a heat index in the triple digits making it feel like 100 to 110 degrees or even higher. a new report's out on the controversial question on whether parents should sleep with their toddlers. according to the american academy of pediatrics, it's okay if the child is at least a year old. there's no evidence of behavioral or learning problems down the road. but the experts warn never sleep with infants before the age of six months, that's when babies are most at risk for sudden infant death syndrome. is it too late to save face? cnn in depth next. with precise pain relieving cream. it blocks pain signals fast for relief precisely where you need it most.
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my money. my choice. my meineke. scotland yard's top two police commissioners have stepped down. this is sir paul stephenson. he says he didn't break any law. police are investigating whether any officers took part or took money on any phone hacking by the news of the world tabloid. rupert murdock will testify in front of lawmakers for the first time since this scandal really broke. joining me now to talk about the testimony and the state is howard kurtz, host of cnn's "reliable information." how careful do you think rupert murdock has to be?
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>> reporter: he has to be extremely careful not to implicate any of his top executives. with all the world attention on that british parliamentary committee, this is about more than mounting a narrow, legalistic defense. rupert murdock has to come off a contrite, as he has been lately with the new pr advisors, that's the message he has to send, and concern, and he has to kind of win the pr battle or take a step in that direction, while also insulating himself for any law enforcement liability. >> and certainly howard, do you believe that he has to say all the right things? because what's at stake here is a massive media empire, "the wall street journal," fox news, isn't this about in some ways protecting his empire?
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>> reporter: the financial stakes are certainly huge, just look at the hits news world's stock has taken since this scandal exploded. and he has had to close one newspaper, he has to drop his billion dollar bid to buy bskyb broadcasting. but people that worked for him have been arrested. so there really is sort of a two-front war here, on the one hand, he has to credibly come across as an engaged president of the company who at the same time didn't know, he will probably say, what his mignons at news of the world were doing. but he has to come across as a sympathetic season who gets the enormity of what has been done here. >> we talk about the apology that he's taken out in the british newspapers. do you think that he needs to do
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the same thing here in the u.s. to help repair his image and the corporation's image? >> reporter: it's interesting because i'm told by sources who are familiar with the company's deliberations that murdock's company is going to hire a public relations firm in the u.s. just to deal with the mounting inquiries on this side of the atlantic, having to do with his u.s. plot, was he involved in which phone hacking, and there's talk of congressional hearings. so right now there's no evidence that any misconduct went beyond the london papers, the london tabloids, but clearly, with so much scrutiny, he could have a problem here in the states, i don't want to get ahead of the facts, but he's certainly got a media headache, and the brand, the news corps brand has certainly taking a tarnishing given the dizzying pace of these
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allegations day after day after day, paying off the police allegedly, rebecca brooks being arrested, this news of the world reporter just having been found dead. it's hard for us to keep up, even those of us who do it for a living. >> and real quickly, what about james murdock, rupert murdock's son, he certainly has -- police that some people. we have two murdocks here whose reputation is going to be
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under a very bright spot light in london. >> howard kurtz, as always, a pleasure to have you. >> tomorrow morning cnn will cover it live and we'll speak once again tomorrow afternoon with howie kurtz and others, we'll break it all down for you. the may of new york city and the woman he's marrying this week, we'll have them here and we'll talk all about it. that's about 34 million pounds of mail every day. ever wonder what this costs you as a taxpayer? millions? tens of millions? hundreds of millions? not a single cent. the united states postal service doesn't run on your tax dollars. it's funded solely by stamps and postage. brought to you by the men and women of the american postal worker's union.
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jonathan mention -- mens and john fineblat are said to be the first same-sex marriage that occurs in new york. both john and jonathan work for mayor bloomberg. jonathan, i would like to start with you because i know you work closely with the mayor and he approached you about officiating your wedding, how did that conversation go. >> we work in a bullpen, we're all there together, he called me over and said, could we talk for a second? we went up and got a cup of coffee right in the middle of the bullpen and he said i don't know whether you and jonathan are thinking of getting married but if you are and you want me to do it, i would be honored. and that was an extraordinary
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honor for us because we work alongside the mayor in his very, very hard press he made for marriage equality in new york state to have the mayor who was such a significant part of getting marriage equality passed, then marrying us is such a great privilege, i guess he's our personal hero on this issue. >> and, john, when you read the news, what did you think? >> we were so proud of the mayor, we were so proud of the state for taking a step toward equality, we were so happy for our kids. we were thrilled. >> i know that you have a couple of daughters. jonathan, why don't you tell me what was the reaction when you told them what your plan was? >> well, they have been pressing for this for a long time. kids have a really somewhat primitive but an innate and strong sense of social justice, what they always say is why can't we be like everyone else.
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so they have been campaigning for this inside our house for a couple of years now because they want what their class mate clasy want what everybody else has. we took our older daughter to hear the mayor speak on marriage equality in cooper union, and when we took her home after the speech, what her reaction was, with a tear in her eye, she said i thought america was about fairness. so i can promise you, we have made her day. >> and jonathan -- i was going to ask you do you get the feeling that your children understand how significant a day this is going to be for the two of you. >> i think they really understand that this is a big deal for our family, they are very clear, certainly our older child is very clear that this is a big step forward for fairness and equality, something that's really important to an
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8-year-old, it's important to all of us, but something very much on their mind as john said. they're excited. right now our older one is focussed on whether she can get up the nerve to sing a song and the other one is angling to see which one of our rings she's going to carry in the ceremony. so we're very busy. >> that sounds like wonderful planning for the whole family. because you both work at mayor bloomberg's office, obviously we know his stance, he fully supports same-sex marriage, how much of an influence that you think your relationship has had on him? >> i think the mayor has known us really well for the past nine years, you will have to ask him how it influenced. but we have had a big role alongside of him. but new york has always stood for freedom, new york's led the fight for freedom, whether we're talking about the women's right to vote, or we're talking about the right of people of different
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races to marry and from the mayor's point of view, this is what new york's all about and freedom is what makes new york new york, and i think his voice was very, very strong and heard in albany and we have to sort of close the circle and then make it pretty personal by having him marry us which is a privilege. >> there's certainly nothing magic about us as a couple, we're like any other couple, we have been together for over 14 years and i think there's hopefully something that people can see in our family that they can relate to understand that this is about love, it's about family, and stability and in our case, children. and i think the mayor just has a very clear sense ofa. >> and you're getting married sunday, very quickly, last question, has the mayor given you both monday off? >> maybe you could call in.
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. >> we'll start a campaign to get both of you monday off. congratulations to you both, i know it's going to be a big day, and a very special day. thank you for coming on with us. 23 minutes past the hour and time for a quick look at our top stories. president obama has picked the man he wants to head up the new consumer financial protection bureau, it's former ohio attorney general richard cordrey. the consumer financial protection bureau was set up by president obama. some republicans threatened to block the nomination. remember all the because about carmageddon? it turned out to be a nonissue. motorists listened to advanced warnings and, yes, they stayed away, there were no big traffic backups and the road actually reopened 17 hours ahead of
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schedule. ccb is the new talk in washington. could it be the answer to the country's financial crisis? we'll find out next. mine was earned over the south pacific in 1943. vietnam, 1967. i got mine in iraq, 2003. u.s.a.a. auto insurance is often handed down from generation to generation,
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break news now into cnn, one of the key whistle blowers in the news of the world hackingal. according to -- encouraged him and other reporters to hack into the voicemail systems of other figures. police are treating the death as unexplained but not suspicious. the debate in washington over spending cuts has a new catch phrase, the expresence is cut, cap and balance. what does that really mean? here cnn's chief political correspondent. >> cut, cap and balance gets us out of debt over a long period of time. >> reporter: cuts, a substantial amount of spending. cap, federal spending at 18% of
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gross domestic product is at 24% of gdp now. cap a balanced budget amendment to the constitution that including spending caps and makes it difficult to raise federal taxes, cut, cap and balance, ccb is the buzz word in many parts of the country. >> the president has agreed to cut federal spending, to cap federal spending and to put in place a balanced budget amendment. >> the house will be in order. >> this week the republican controlled house will likely pass a cut, cap and balance bill as a me reprereck sit. >> it puts in place spending limitations that would force us to cut social security and medicare more deeply than even the house budget amendment. >> leaving the debt ceiling issue precisely where it's been for months, unresolved.
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if you cannot get the senate to pass what the house surely will this week, you will allow the u.s. to go in default? or you will go to a plan b? >> i'm going to focus on plan a, to me, that's the only plan that will work, to me it's the real deal, not a big deal. >> reporter: the plan that would cut $1.5 trillion over ten years and let the president raise the debt ceiling through the 2012 election, congress could stop him but only in the unlikely event of a veto proof majority vote in both houses, everyone gets off the hook and avoids economic chaos. >> in the end the republican leaders will be clear that we were not the ones that put the country into default. >> reporter: the idea comes from senate gop leader mitch mcconnell who has been trashed by conservatives ever since. >> let's have that national debate. >> sources say the last ditch mcconnell plan could be on the senate floor this week. >> but a republican source
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believes before the mcconnell bill, the senate will take up cut, cap and balance, because even if ccb doesn't pass, it has endless possibility as ccb camp pain bumper sticker. you will not believe how much it costs to buy one ounce of gold today. [ male announcer ] you know there are germs on every surface in your mouth. but did you know those same germs can build up and form a resilient layer called biofilm?
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echl the debt ceiling proposal stands in sharp contrast to president obama's preference for a package of roughly $4 trillion in savings over the next decade made up of spending reforms and tax increases on the rich. but just a short time ago the president said he was making progress when he asked for a weekend meeting with house speaker john boehner regarding the national debt. gold stopped $1,600 an ounce, that is more than a i1%
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increase in the previous session. baseball great nowlan ryan, the president and ceo of the texas rangers is in the hospital, scheduled to undergo medical tests today, ryan was hospitalized for what is believed to be a recurrence of the heart condition which he has previously experienced, that's according to his team. ryan expects to be released in a few days. general david petraeus --
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happy birthday.
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>> happy birthday. >> happy birthday. >> ♪ happy birthday to you ♪ happy birthday ♪ happy birthday madiva >> three celebrities among the millions wishing former south african president nelson mandela a happy birthday. across the country, south africans are paying tribute to the anti-arrepart tied presiden. another top aid of hamid karzai shot dead. we're joined from the afghan capital kabul. what did david petraeus say about the war he's now leaving? >> well, the former commanding
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general thanked his afghan counterparts who he believes are counting on taking over much of the security of this country in the next coming years, he also reflected back on some of the games that nato led forces have made and some of the eastern provinces which have typically been taliban strong holds. he's likely to still have a heavy hand here in the region. and what can you tell us about the new commander. gener general -- >> reporter: again we had the as
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a result of some of the assassination attempts we have seen in the last week, randi? >> and speaking of those assassinations, we saw hamid karzai's brother was half killed, now a close advisor to him has been killed. any idea why this advisor might have been targeted, what do we know about him? >> well, the man's name is john mohammed hann and he was a formal province shall governor and sort of close advisor to president hamid karzai and he was gunned down in his home with a member of parliament, he was not only another advisor to the afghan president, it follows a string of assassination attempts and attacks as well as the -- wali karzai who was killed last week on tuesday in his home by a long time bodyguard, and the
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message that many here are getting and the real sense is that the taliban who have claimed credit for these attacks can really attack anywhere. >> all right, david ariosto in kabul for us, thank you. and coming up, an amendment with teeth. the house is considering a bill to change the constitution forcing a balanced budget. but is that a good idea? our extreme team will weigh in next.
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phones, cable, electric, car insurance, but we have no choice, either pay the bill or get cut off. but the federal government works
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under different rules, it can pay out what's behind the deficit and the debt ceiling. republicans are bringing in a new balanced budget amendment up for vote this week. so we wanted to ask the question, should the constitution be amended to mandate that the federal government balance the budget every year? let's bring in our extreme team today. peter marici is an international professor at the university of maryland and the founder and chairman of the memphis tea party. meter let's start with you. >> absolutely not, i'm a nis call conservative, the government spends too much money, the deficit is way too large, but there are times when there are good reasons to have deficit in other words the recession. as tax revenues are falling with economic growth, to cut spending at a time like that would be an absolute disaster. there's no substitute for self-discipline, this congress needs to learn self-discipline on its own. >> mark, would you like to weigh
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in there? >> yeah, look, peter obviously a fiscal conservative just as i am. but the fact of the matter is this is a debt ceiling discussion. as long as the federal government, the senate and the house and the administration continues to dole out favors, they're never going to bring discipline in. and like our state of tennessee, which has a balanced budget amendment in the constitution, and we balance our budget, i think the federal government must abide by the same law. i think it's a good idea, both over senators have supported a balanced budget amendment. >> that forces the government to bring in more than it pays out. how do you pay down this $40 trillion debt? >> we have to get this economy growing again. one of the reasons we need a deficit right now is because we're growing so slowly. we have a huge trade deficit and the congress is unwilling to address that, it has to do with
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oil and trade with china. if it would address those things, the economy would grow faster, and there would be no excuse for these large deficits. and at times we could see surpluses. i don't know if we need to eliminate the debt, but we certainly shouldn't be accumulating it at the pace that we are. we're way out of line right now and need to do better. >> what about entitlements, social and medicare. what about them? they took up a big portion of the budget. >> i celebrated my 57th birthday last monday. i have no illusions about social security being there for me or medicare. the truth of the matter is, i want to see privatization like they saw in chile and work like a south american country. we need to have a practical conversation about moneys in and moneys out. it's unsustainable. frankly looking into my later
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years, and these programs will be eliminated or reduced. >> nancy pelosi has called the plan by the republicans outrageous. how much of this do you think is political or for show? the republicans can't believe this is actually going to pass? >> this is not going to pass with a democratic senate. and i wouldn't blame them so harshly for doing it, this is what may believe in so they laid down the gauntlet. however time is so short to deal with the critical budget crises before us. if august comes and we don't have a deal, given the disposition of the president not to make money, we'll have a full blown financial crisis on our hands. this is no time for dalaiing with this kind of nonsense. for once, this is a rare occasion, i'm on nancy pelosi's side. >> that is a rare occasion,
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peter. what abo . >> the president wants to go to 2012, that's why he wants a an increase in the debt ceiling. and in 2010, when they had a supermajority. he could have increased the debt ceiling for 5 trillion and passed it, he could have created a budget that gave him all of these entitlements, they bet on 2010 and they lost and now we're sitting behind the a-ball. >> peter, what do you think about the idea of an amendment setting a limit for the debt ceiling instead of an amendment like this one? >> well, it would be the same thing, once you hit the ceiling, you would always have to have a balanced budget. it's just another way of doing the same thing. consider this, we have a $1.6 billion deficit this year and the best that republicans can come up with is a plan that would cut spending this year by
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1 100 billion,$100 billion, $150 . federal spending over and above what's needed for inflation is up by $900 billion over the last four years. i'm sure my colleague and i could cut that in half real quick if they would let us. we could find $450 billion in a $5 trillion package with little difficulty. >> peter and mark, i think you've solved the problem there, you better head straight to washington and get it all figured out for us, okay? new developments just keep coming in britain's phone hacking scandal. having trouble keeping all the players safe? we will break it down for you, next. citracal.
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with details coming so fast and furious, it may be getting hard to keep track of all the players, so we're going to use today's big breakdown to help you out. let's start with a name most people know, that is rupert murdock, he's an 80-year-old media tycoon, over the years he's built a huge international media conglomerate, including some well known u.s. enterpri enterprises, including the 20th century fox, the "new york post." dow jones ceo hinton resigned last week. there are claims he may have known more about the scandal than he admitted when he
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testified before a parliamentary committee. rupert murdock's son james is in charge of news corps's asia properties. news national, the subsidiary of news car, rebecca brooks, she was ceo of news of the world until she resigned last week. news of the world reporters are accused of hacking the answering machine of a teenaged girl who was later found dead. rebecca brooks was the editor of news of the world from 2000 to 2003. after brooks was promoted, andy colson became ceo of news of the world. he became communications director for british prime minister david cameron. colson was arrested last week, rebecca brooks was arrested yesterday. the scandal is spreading beyond
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murdock's media empire. paul stevenson resigned yesterd yesterday. his assistant commissioner john yates resigned today. the initial investigation into the scandal was botched. rupert murdock, james murdock and rebecca brooks were all scheduled to testify before parliament tomorrow morning. cnn will cover their testimony live. and it's time now for a cnn political update and someone else is set to take the republican pledge in the deficit debate. cnn deputy political director paul steinhauser joining us from washington. who's signing on now? >> michele bachmann for minnesota, she becames the latest of these republican candidates to do this, just about all of them have signed
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this pledge. she's going to sign them in south carolina, and that's the first southern primary to vote and it's also the home of the mastermind behind this cut, cap and balance pledge. let's look closely at what it's all about. cut calls for cutting a substantial amount of spending into bring down $1.5 trillion in that deficit. cap the government spending at 18%. right now it's at 24%. and balance, that is to pass a balanced budget amendment. as you can imagine, this is a little bit controversial with a lot of democrats, but on the republican side, a lot of support, especially conservatives. >> paul, i just want to ask you, as we have been watching the gop field for the presidential candidates, we keep expecting it to grow, a lot of talk about governor rick perry, any more word on his decision. he had some comments over the weekend, the register, the big newspaper out in iowa, iowa of
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course the first to vote in the race for the white house. he said i'm not ready to tell you that i'm getting in, but i'm feeling more and more this is what i've been called to do. it sounds like he's getting pretty close to an announced for a bid for the white house. i want to go back to london now and take you there with me. cnn's matthew chance has more on the uncomplained dpet in the murdock news corps scandal. matthew, what can you tell us? >> just that they said a man has been found at about 10:40 in the morning local time which is outside of the british capitol of london. it's important because this individual is, i suppose you could call him the whistle
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blower on the whole phone tapping scandal, about a year ago, the first accusation formally, andrew colson, the -- the ceo of the news of the world, he actually approved of the practice by his journalists he also came into the news about a week ago giving an interview to the times. he said that he had access to pinging, which is basically pinpoint the location of an individual you're looking for in exchange to payments to police officers so he was a central figure in these allegations which are now of course rocking london with those phone hacking allegations. >> and the death is being called unexplained. have you heard any word on whether or not this is suspicious? >> well, according to media reports, the police are saying that they're not saying whether or not it's suspicious, they're
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saying it's unexplained, you're absolutely right about that, it could have been suicide, but some organizations are looking at that speculatively, at the moment all we can say is that it's unexplained, but we'll get more details in the minutes and hours ahead, it's a very fast developing story. >> and as it continues to grow, you mentioned that he did speak with the "new york times," he was back in the spotlight again last week, speaking to them about the use of this police technology. how significant, if that is indeed the case, how significant of a turn in this investigation might that be? >> well, it obviously is a very -- is a new, bizarre twist if this death is linked to this scandal in any way. it might not be of course. but obviously if these pinging allegations if that's what you're referring to are accurate, that obviously has huge inch indicatimplications,
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if the technology is reserved for the authorities to pinpoint wanted individuals was basically out to hire in exchange for cash by individual police officers. that would obviously be extremely shocking to many people in this country, and i expect it's one of the issues that's being investigated now by the independent police complaints committee, which has launched it's own investigation into the conduct, not just relation to the senior most police officers, but also to two other former senior officers in the metropolitan police as well, their conduct, how they behaved in regards to this phone hacking scandal. >> it's certainly going to be interesting as murdock is set to testify tomorrow before parolment along with rebecca brooks. one last thought on the casey anthony trial, one last thought in my xyz set next.
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...and save up to 60% i'm in i know the lady in leather travels on three wheels. wait, is that code? that's my secret weapon... ...naomi pryce see winning hotel bids now at priceline.
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this is the last time i mention casey anthony's name, you probably heard the florida mom who's accused of murdering her 2-year-old daughter caylee. she walked out of jail after nearly three years behind bars, and after being cleared in the murder of her daughter. where will she go, everyone keeps asking, who cares? i covered -- i followed the detectives path to the family home and to
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